Why is China Mobile paying handset makers to build TD-SCDMA phones?

iPhonAsia comment: Why is the most dominant wireless carrier in the world (China Mobile with 463 million subscribers) dolling out R&D money to handset makers to build TD-SCDMA phones? Especially to the gargantuan Nokia who has dominant marketshare in China (40% of handset sales in China are Nokia) and has much (literally) invested in maintaining their good standing with China Mobile. Serious question. Why? You’d think Nokia would be falling all over themselves to rush deliver a new TD Nokia phone for China. But they’re not. Telling isn’t it?

China Mobile may have too clearly telegraphed their “as rapidly as possible” move to TD LTE 4G … which gives any spend on TD-SCDMA handsets a very limited life span on a nascent and bug plagued network. Much more via links below >

“China Mobile expresses strong dissatisfaction with the passive attitude of these international manufacturers”…

China Mobile (NYSE:CHL, 941.HK) plans to invest a total of RMB 600 million in Nokia and other handset manufacturers to speed the research and development of TD-SCDMA phones, reports Ccidnet.com. China Mobile Chairman and CEO Wang Jianzhou told the Financial Times that China Mobile has been in talks with Nokia, Samsung, LG and Sony Ericsson regarding R&D funds, but that no agreements had been reached. China Mobile previously announced plans to build a fund to support handset distribution and marketing channels for the homegrown 3G network, said the Ccidnet report.